INDUSTRY 4.0 IN UKRAINE AND ROMANIA: CHALLENGES, OPPORTUNITIES, AND PATHWAYS TO INTEGRATION

Abstract

The present study explores the current state and potential of Industry 4.0 adoption in Ukraine and Romania, two countries positioned at the edge of the European Union and sharing complex post-Soviet legacies. The subject of this study is the digital and industrial transformation driven by advanced technologies such as the Internet of Things (IoT), Artificial Intelligence (AI), robotics, and big data analytics. The objective of the present paper is twofold: firstly, to identify the challenges and opportunities for these countries in embracing the Fourth Industrial Revolution; and secondly, to examine pathways for regional integration and economic modernisation. The study employs a comparative analysis, case study methodology, and a synthesis of official statistics and policy documents to evaluate the readiness and strategic direction of both countries. The present study draws upon an analysis of two representative firms, Dacia in Romania and Grammarly in Ukraine, in order to illustrate sector-specific technological integration, innovation scalability, and the role of external financial and institutional support in achieving transformation. The findings suggest that Romania benefits from EU structural funds and a centralised digital strategy, whereas Ukraine relies more heavily on private-sector innovation and international aid due to its ongoing geopolitical challenges. Despite these structural differences, both countries present promising opportunities for collaboration, particularly in cross-sectoral knowledge transfer, public-private partnerships, and digital upskilling of the workforce. The paper concludes that sustainable implementation of Industry 4.0 technologies requires a cohesive national strategy, inclusive digital education policies, and mechanisms for efficient resource allocation. The employment of a comparative perspective is conducive to the cultivation of a comprehensive understanding of the manner in which policy frameworks, economic structures, and innovation ecosystems interact to give form to the trajectory of digital transformation in emerging economies.